Earlier this week, Videogamer reported a rumor that the next generation of Microsoft hardware would be unveiled at E3 2012 and that Crytek already had its mitts on it, supposedly developing TimeSplitters 4 -- which would also be shown off at next year's annual trade show. However, according to the latest Crytek newsletter, it's all baloney.
"Relating to the recent rumours, Crytek do not have any next generation hardware from Microsoft, nor do we know when Microsoft may announce future hardware or what that hardware will entail. Crytek are working at pushing the boundaries of what current technology can bring, including our focus on DX11 which will be released shortly as an update for Crysis 2, and we believe this work, added to our estimations of what the new hardware will provide, set up CryENGINE as a next generation engine for all consoles."
Besides, it wouldn't make much sense for Microsoft to announce a new console when it's all gung-ho on Kinect right now -- unless the new console uses Kinect. You guys, we think we just figured it out!